New Ways You Can Help RMH Families and Save on Taxes
Create a Plan to Help Children and Families
Did you know the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) created several opportunities for you to reduce your tax liability, while also helping support families at RMHC of the Inland NW. The legislation, passed in late March, expanded charitable giving incentives for taxpayers. Here’s how:
- You can now make up to $300 in charitable contributions and deduct that amount on your 2020 taxes, in addition to the standard deduction
- If you itemize, the legislation removed the income limitation for deducting charitable contributions, meaning there is no longer a limit on how much you can give.
- Plus, the new law temporarily suspended required minimum distributions from your IRA for 2020.
Congress included a provision in the Coronavirus Aid, Relief, and Economic Security (CARES) Act, intended to provide some relief for charitable organizations. The CARES Act permits eligible individuals who do not itemize deductions to deduct $300 of qualified charitable contributions as an “above-the-line” deduction, i.e., as an adjustment in determining adjusted gross income (AGI), for tax years beginning in 2020.
For more information, please talk to your tax advisor.